I am happy to announce that the City of Joburg’s Department of Economic Development has facilitated investments of R16.355 billion by the end of 2018/19 financial year, according preliminary figures.
When the multiparty government came into office in August 2016, levels of investment stood at R4.5 billion in the 2015/16 financial year. This figure dropped slightly in the 2016/17 financial but grew substantially, to 8.69 billion in the 2017/18 financial year.
The City has now facilitated investments worth a total value of R16.355 billion in the year ending June 2019. Therefore, the increase in facilitated investment will boost our efforts of creating jobs and ultimately eradicating the scourge of poverty, inequality and social exclusion.
I wish to congratulate the Member of the Mayoral Committee for Economic Development, Councillor Leah Knott, and her team, for their hard work in ensuring that investors continue to have confidence in Johannesburg’s economy. This will ensure that the City’s economy continues to grow at a rapid rate.
This tremendous success augurs well for the objectives of the multi-party government of achieving five percent economic growth by 2021.
In the first quarter, investment to the value of R4.2 billion was acquired, followed by R3.8 billion in the second quarter, R4.85 billion in the third quarter and R3.5 billion in the fourth quarter.
I am particularly pleased with the increase in private-sector investment in the Inner City. The City of Joburg continues to attract investors into the Inner City through the Urban Development Tax Incentive.
The Investment acquired under the UDZ Tax Incentive amounts to R1.95 billion.
The revitalisation of the Inner City is integral to achieving the economic objectives set out by the multi-party government. I therefore encourage investors to take advantage of the Urban Development Tax Incentive and partner with City to restore our Inner City to its former glory.
The Inner City has experienced a growing shift in the mixed-use housing indices including combinations of student accommodation districts, expansions and modifications; middle class apartment for emerging professionals in the Inner City and suburbia.
Investment towards trendy office, retail, arts and entertainment facilities as well as spaces in Marshalltown, the CBD and surrounding suburbs has also increased.
MMC for Economic Development, Cllr Leah Knott, said residents of Johannesburg should expect to see various developments across the city as a result of this unprecedented success in investments. She said the investments will unlock Joburg’s true potential and further affirm its position as the economic hub of Africa.
‘‘We are committed to bringing real change to the people of Johannesburg. We are also saying Joburg is open for business. We encourage investors to remain in the city and take advantage of the many opportunities.’’